Client Advisor Employee
Username
Password
  • Mutual Funds

    When it comes to the world of investing, three words come to mind: overwhelming, intimidating, and scary.

  • Financial Planning

    In finance, investment is putting money into an asset with the expectation of capital appreciation.

  • Time for changes

    Bottoms in the investment world don't end with four-year lows; they end with 10- or 15-year lows.

  • Solution

    The stock market is filled with individuals who know the price of everything, but the value of nothing.

IPO Updates

ronically being one of the main areas investment banks deal with, it should be to no surprise that investment banks typically have the best return of any IPO put into the public market. While of course there will always be some exceptions, buying a few of these newly released stocks will almost guarantee a higher return on investment for your portfolio.

Looking at specific stocks in general, all indications point to the sentiment that investment banks present an excellent opportunity for future capital gains. For example a few years ago Goldman Sachs (GS) put an IPO in the market. Currently the stock is trading almost 1300% than initially presented almost seven years ago. Typically it takes decades for a stock to reach such appreciation. However, with the continued trend in the investment banking community, such a percentage gain is not uncommon to smart investors.

While you may argue that Goldman Sachs was a well respected company before becoming public, there are many more obscure companies which have had just of great of success regardless of how recognizable the name was. Calamos Asset Management Inc. (CLMS) had an increase of nearly 25% in two years, Black Rock Inc. (BLK) grew nearly 1150% in five years, and Greenhill & Co Inc (GHL) gained nearly 50% in less than three years. In fact out of the 32 random companies I assessed, only four or 12% of these companies which have been in the market for more than one year have posted capital losses and only marginal ones relative to other IPOs. Furthermore, including all the IPOs in the market regardless of file date, only seven out of the 32 have seen any kind of capital loss regardless of any kind of fundamental or technical analysis. While as an investor you many argue that the risk is too high during infancy, by purchasing shares in four to seven of these companies, there is almost a guarantee you will earn a large portion of capital gains.

Therefore, while many professionals may argue against buying an IPO so quickly, remember that investment banks are the companies that underwrite IPOs in the first place and have a fair say on what the price of the stock should be. While such a situation may be criticized as unfair, the opportunity to win big with investment banks is highly apparent, and you as an investor should take every advantage with these fortunes.

Market Watch
  • MF News
  • IPO News

Joydeep Sen The impact of the revised norms on returns from liquid funds would not be huge.
Mon, 04 Mar 2019 09:40:54 +0530


Subscribe to Embassy Office Parks REIT: Choice Broking Choice Broking has come out with its report on Embassy Office Parks REIT. The research firm has recommended to "Subscribe" the IPO in its research report as on March 16, 2019
Mon, 18 Mar 2019 16:19:20 +0530


Subscribe to Embassy Office Parks REIT: ICICI Direct ICICI Direct has come out with its report on Embassy Office Parks REIT. The research firm has recommended to "Subscribe" the IPO in its research report as on March 18, 2019
Mon, 18 Mar 2019 15:54:32 +0530


Embassy Office Parks REIT IPO opens: 10 things you should know Post the utilisation of the IPO proceeds, its total indebtedness is expected to be less than 15 percent of market value initially.
Mon, 18 Mar 2019 10:16:49 +0530


Embassy Office Parks REIT raises Rs 1,743 cr, Radhakishan Damani among anchor investors Ace investor and Avenue Supermarts#39; owner Radhakishan Damani and his brother are among Indian investors, who invested Rs 160 crore against 53.36 lakh shares in Blackstone-backed company, through their five trusts
Sun, 17 Mar 2019 16:45:10 +0530


Subscribe to MSTC Ltd: Choice Broking Choice Broking has come out with its report on MSTC Ltd. The research firm has recommended to "Subscribe" the IPO in its research report as on March 12, 2019
Fri, 15 Mar 2019 12:03:33 +0530


State-owned MSTC#39;s Rs 226-cr IPO opens today; should you subscribe? The company will get the first mover advantage on account of domain expertise in providing e-commerce services thereby helping to boost its business. It has a robust, advanced and scalable technology platform.
Wed, 13 Mar 2019 10:07:57 +0530


Neogen Chemicals gets Sebi#39;s go ahead for IPO With this, the total number of company getting Sebi#39;s clearance for the public issues -- initial public offer (IPO) and follow on public offer (FPO) -- has reached to seven, so far in the new year.
Tue, 12 Feb 2019 11:25:06 +0530


Reliance General Insurance files for IPO The IPO will also include an offer by Reliance Capital to sell up to 79.5 million shares, Reliance Capital said.
Tue, 12 Feb 2019 10:30:01 +0530